A new report released by KPMG International’s Global Customer Center of Excellence reveals the many varied impacts of COVID-19 on customer behaviour. The findings from Me, My Life, My Wallet were based on 18.657 respondents across 16 countries, regions and jurisdictions (including Cyprus)and showcase that organisations need to recognise and adjust their approach to stay relevant and meet the changing customer’s needs during COVID-19 - where they are today and where they will be in the future.
The pandemic has accelerated the global transition to digital payments and Cyprus is no exception. Cypriots are increasingly choosing digital payment methods over cash and expect, or even demand, an enhanced digital experience. At the same time, customers in Cyprus are still reluctant to trade their personal data in exchange for a better product or service, although they express high levels of trust in technology, banking and retail.
- 36% of consumers expect companies to reduce all friction associated with delivery.
- 49% of consumers are now more focused on saving rather than spending.
- 80% of consumers prefer buying from and into the brands whose actions align with their beliefs and values.
- 90% of consumers are willing to pay more to an ethical retailer or brand that gives back to society.
- 55% of consumers place protection of their data as the most important element they expect from companies, with 47% expecting companies to never sell their data to others
- 44% of consumers reported using more (and different) technologies such as mobile apps or voice activated devices, compared to before COVID-19.
Julio Hernandez, Head of Global Customer Center of Excellence, US Customer Advisory Lead, KPMG in the US said: “In the battle for growth, knowing your customer – intimately, personally and holistically – is what will likely separate the winners from the rest of the pack. And the critical prerequisite to this knowledge is data; it has currency, it has value. With it, organisations can craft deeply personalised experiences, can stop living in today and start predicting the customer of tomorrow. But without it, organisations are left in the dark, relying on outdated assumptions and imprecise generalisations. Knowing the evolving customer better can instil confidence in charting a path forward in such a dynamic environment.”
Antonis Bargilly, Board Member, Head of Customer, Strategy and Operations at KPMG in Cyprus said: “Cypriot businesses are faced with conflicting trends and customer needs, a willingness to change and a fear of the unknown. The optimal response is to offer the best of both worlds and respond to this ever-changing business landscape by embedding digital payments in their offering, while doubling down on data protection and security.”